Stock Analysis
As global markets continue to navigate economic uncertainties, the Hong Kong market has experienced a challenging period, with the Hang Seng Index recently seeing significant declines. In this environment, dividend stocks on the SEHK offer investors potential for reliable income streams by providing regular payouts that can help offset market volatility.
Top 10 Dividend Stocks In Hong Kong
| Name | Dividend Yield | Dividend Rating |
| China Hongqiao Group (SEHK:1378) | 8.93% | ★★★★★☆ |
| Chongqing Rural Commercial Bank (SEHK:3618) | 7.61% | ★★★★★☆ |
| Bank of China (SEHK:3988) | 7.08% | ★★★★★☆ |
| Playmates Toys (SEHK:869) | 8.96% | ★★★★★☆ |
| Lion Rock Group (SEHK:1127) | 8.09% | ★★★★★☆ |
| China Construction Bank (SEHK:939) | 7.21% | ★★★★★☆ |
| PC Partner Group (SEHK:1263) | 8.79% | ★★★★★☆ |
| Tianjin Development Holdings (SEHK:882) | 6.99% | ★★★★★☆ |
| Sinopharm Group (SEHK:1099) | 4.54% | ★★★★★☆ |
| Tian An China Investments (SEHK:28) | 4.94% | ★★★★★☆ |
Click here to see the full list of 92 stocks from our Top SEHK Dividend Stocks screener.
We'll examine a selection from our screener results.
Datang Environment Industry Group (SEHK:1272)
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: Datang Environment Industry Group Co., Ltd. operates in the environmental protection and energy-saving sectors, with a market cap of approximately HK$2.52 billion.
Operations: Datang Environment Industry Group Co., Ltd.'s revenue primarily comes from its Environmental Protection and Energy Conservation Solutions segment, generating CN¥5.56 billion, followed by Renewable Energy Engineering at CN¥243.94 million.
Dividend Yield: 7.7%
Datang Environment Industry Group offers a dividend yield of 7.73%, placing it in the top quartile among Hong Kong dividend payers. Despite its attractive yield, the company has an unstable and volatile dividend history, with payments having decreased by over 20% annually at times. However, dividends are well-covered by both earnings and cash flows, with payout ratios of 48% and 13.1%, respectively. Recent leadership changes may impact future strategic directions but have no immediate effect on dividend stability.
- Take a closer look at Datang Environment Industry Group's potential here in our dividend report.
- Our comprehensive valuation report raises the possibility that Datang Environment Industry Group is priced lower than what may be justified by its financials.
SITC International Holdings (SEHK:1308)
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: SITC International Holdings Company Limited is a shipping logistics company offering integrated transportation and logistics solutions across Mainland China, Hong Kong, Taiwan, Japan, Southeast Asia, and internationally with a market cap of HK$54.55 billion.
Operations: SITC International Holdings generates revenue primarily from its Container Shipping and Logistics segment, amounting to $2.48 billion.
Dividend Yield: 4.9%
SITC International Holdings declared an interim dividend of HK$0.72 per share for the first half of 2024, though its dividend history has been volatile over the past decade. Despite this instability, dividends are covered by earnings and cash flows with payout ratios of 72.2% and 76.5%, respectively. The company's recent earnings report showed increased sales to US$1.30 billion and net income growth, yet its dividend yield remains lower than Hong Kong's top quartile payers.
- Navigate through the intricacies of SITC International Holdings with our comprehensive dividend report here.
- Insights from our recent valuation report point to the potential undervaluation of SITC International Holdings shares in the market.
Stella International Holdings (SEHK:1836)
Simply Wall St Dividend Rating: ★★★★★☆
Overview: Stella International Holdings Limited is an investment holding company involved in the development, manufacture, and sale of footwear products and leather goods across North America, China, Europe, Asia, and other international markets with a market cap of HK$12.16 billion.
Operations: Stella International Holdings Limited generates revenue through its activities in the development, manufacturing, and sales of footwear products and leather goods across various international markets including North America, China, Europe, and Asia.
Dividend Yield: 8.4%
Stella International Holdings' dividend history has been volatile over the past decade, but recent improvements are notable with a declared interim dividend of HK$0.65 per share. The company's payout ratios of 72.6% for earnings and 54.2% for cash flows suggest dividends are sustainable despite past unreliability. Recent inclusion in the S&P Global BMI Index and significant net income growth to US$91.94 million highlight its strengthening financial position, supporting its competitive dividend yield in Hong Kong's market.
- Get an in-depth perspective on Stella International Holdings' performance by reading our dividend report here.
- Our comprehensive valuation report raises the possibility that Stella International Holdings is priced higher than what may be justified by its financials.
Key Takeaways
- Embark on your investment journey to our 92 Top SEHK Dividend Stocks selection here.
- Already own these companies? Bring clarity to your investment decisions by linking up your portfolio with Simply Wall St, where you can monitor all the vital signs of your stocks effortlessly.
- Invest smarter with the free Simply Wall St app providing detailed insights into every stock market around the globe.
Ready For A Different Approach?
- Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
- Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management.
- Find companies with promising cash flow potential yet trading below their fair value.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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About SEHK:1836
Stella International Holdings
An investment holding company, engages in development, manufacture, and sale of footwear products and leather goods in North America, the People’s Republic of China, Europe, Asia, and internationally.
